Verizon-Frontier deal faces another hurdle

Verizon’s plan to sell its wireline assets in California, Florida and Texas to Frontier Communications has run into fresh trouble in California, this time over broadband deployment promises. State regulators are pressing Frontier for clearer, stronger commitments on how and where it will expand or upgrade service after the deal closes.

Analyst Blair Levin of New Street Research says deployment obligations have now become a bigger obstacle than earlier concerns over diversity, equity and inclusion. Until California is satisfied with Frontier’s build-out plans, the broader transaction remains at risk of delay or extra conditions.